WORKSHOP ON CORPORATE SOCIAL …...1 WORKSHOP ON CORPORATE SOCIAL RESPONSIBILITY AND ENVIRONMENTAL...

1

WORKSHOP ON CORPORATE SOCIAL RESPONSIBILITY AND

ENVIRONMENTAL MANAGEMENT SYSTEMS

FINAL REPORT

March 19-23, 2018

Trainers

Hannah Ringwald, Sustainability Agents SUSA GmbH

[email protected]

Carolina Galiotti, Sustainability Agents SUSA GmbH

[email protected]

Sebastian Siegele, Sustainability Agents SUSA GmbH

[email protected]

Key staff

Alison Holt, US Forest Service Africa and Middle East Specialist

[email protected]

Hiwot Hailu, USAID/USFS Advisor to Industrial Parks Development Corporation

[email protected]

Mebrat Senusi, USFS Ethiopia Support Specialist

[email protected]

Timnit Woldeghiorgis, USAID/USFS Advisor to Ministry of Industry

[email protected]

mailto:[email protected]



TABLE OF CONTENTS

Introduction ..................................................................................................................................... 3

Executive Summary ........................................................................................................................ 4

Training Overview .......................................................................................................................... 5

DAY 1: The role of CSR in the global economy ........................................................................ 6

DAY 2: Overview of regulatory frameworks and the role of stakeholders ................................ 7

DAY 3: Understanding the practical implementation of CSR .................................................... 7

DAY 4: Best practices and future vision ..................................................................................... 8

DAY 5: Improved communication between park developers and industries ............................ 10

Observations and Reflections ....................................................................................................... 13

Recommendations and Next Steps................................................................................................ 14

Acknowledgments......................................................................................................................... 15

Appendices .................................................................................................................................... 15

Appendix A: Training Agenda .................................................................................................. 15

Appendix B: Resources for the Training................................................................................... 20

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INTRODUCTION

The Ethiopian economy is quickly growing, with an average growth of 10.8 percent per year in the past

decade1. The country is now implementing phase II of its Growth and Transformation Plan that aims to

build a solid industrial base in order to bring structural transformation and make Ethiopia a manufacturing

hub in Africa by 20252. Moreover, the country is carrying out a Climate Resilient Green Economy

(CRGE) strategy to identify opportunities and entry points for green industrialization, to develop an

economy-wide green growth vision.

Ethiopia’s industrialization approach has strongly focused on developing specialized industrial parks,

maintaining environmental sustainability, building vertically integrated industries, and enhancing skills

development – through strong collaboration with the private sector. The Ethiopian Investment

Commission and the Industrial Park Development Corporation as well as the Ministry of Industry are key

players in this process.

The Industrial Parks Development Corporation (IPDC) was established in 2014 with a mandate to

develop, operate and administer a wide range of industrial parks in the country through lease, transfer and

sale of land and construction. IDPC is designated to prepare a detailed national industrial parks master

plan based on the national master plan. The corporation is also empowered to serve as an industrial land

bank. Currently, IPDC is vigorously working to develop 100,000 hectares of land between 2016 and

2025, for a total factory floor area of 20 million m2 resulting in about two million job created. Currently,

three industrial parks- Bole Lemi I, Mekelle, and Hawassa -are operational and an additional four -

Kombilcha, Dire Dawa, Adama and Jimma- will soon be inaugurated.

The Ministry of Industry (MoI) plans to construct 17 Integrated Agro Industrial Parks (IAIPs) that will be

built in all states. Four states - Amhara, Oromia, Tigray and SNNPR - have already laid cornerstones to

commence construction of their own integrated agro-processing industrial parks. The ministry plans to

develop 1,000 hectares of land in each of the four agro-industrial parks. Based on agro-ecology of the

parks, pulses, oil-seeds, poultry, meat, milk, honey, vegetables, fruits, and coffee among other processing

factories will be established. 60 big or 120 medium size factories will be established during the initial

phase.

The manufacturing industry in Ethiopia has also faced numerous challenges. Social and environmental

challenges faced by the factories have already been reported, especially in relation to the labor force.34

Although major efforts are carried out to develop and industrialize the country, Ethiopia is new to the

industrial culture. This includes workers in factories as well as other stakeholders in critical positions,

such as managers, supervisors and government officials in charge of the industry’s development. Its

position in the global supply chain along with its resources and lessons learned from other industrializing

countries gives Ethiopia an advantage to curb social and environmental problems from an early stage.

Social and environmental issues are crucial for the sustainability of Ethiopia’s development to ensure that

industrialization benefits the entire society and has minimal negative impacts on the environment.

Corporate Social Responsibility (CSR) guidelines are currently lacking, both for the park developers as

well as for the industries. Industries residing in the industrial parks are expected to operate in an ethical

1 World Bank (2016). Ethiopia: Overview. Retrieved from: http://www.worldbank.org/en/country/ethiopia/overview

2 Ethiopian Investment Commission (2017) Ethiopia: Aspiring to become the Leading Manufacturing in Africa by 2025. Presentation held at the G20 conference in Hamburg, Germany. 3 SUSA (2017) Assessment of Workers’ Satisfaction and HR Structure of Factories in the Hawassa Industrial Park.-Retrieved from:

http://enterprisepartners.org/download/hr-assessment-in-the-hawassa-industrial-park/?wpdmdl=2211 4 Dawit Endeshaw (12 August 2017) Labor affairs. The Reporter Ethiopia. Retrieved from: https://www.thereporterethiopia.com/content/labor-affairs

and transparent way that contributes to the welfare of society and the environment, complying with

applicable national laws and with international norms of behavior such as the United Nations Universal

Declaration of Human Rights, the International Labour Organization’s core conventions on labor

practices, and other Corporate Social Responsibility Standards.

USAID/Ethiopia, the US Forest Service (USFS) and IPDC recently partnered with Sustainability Agents

SUSA GmbH to implement a CSR workshop to build capacity of park developers and their industries on

CSR related issues that will ultimately benefit the country to meet its sustainable development agenda by

2030.

EXECUTIVE SUMMARY

USAID/USFS conducted a workshop from March 19th-23rd 2018 at the Capital Hotel in Addis Ababa,

with 36 participants coming from the Industrial Park Development Corporation: Hawassa and Bole Lemi

Industrial Parks, Ethiopian Investment Commission, Ethiopian Standards Agency, Ministry of Industry,

Ministry of Labour and Social Affairs, Ministry of Environment, Forest and Climate Change, and the City

Government of Addis Ababa Solid Waste Recycling & Disposal Office. The overall objective was to

build capacity among industrial park developers and industries on Corporate Social Responsibility and

Environmental Management Systems in order to foster sustainability in Ethiopia’s industrialization.

Specific objectives of the workshop were to:

Create awareness about the importance of integrating long-term economic, environmental, and

social aspects in the industries’ business strategies while maintaining global competitiveness and

brand reputation

Analyze the role of stakeholders along the global supply chain and their impact on the industry’s

sustainability

Provide an overview about international standards for social and environmental responsibility and

understand the regulatory framework

Understand and reflect on the practical implementation of CSR in the industry

Analyze and develop ideas for a strategy towards improved communication between park

developers and industries

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TRAINING OVERVIEW

The workshop was divided in two parts. During the first days of the workshop, training was delivered on

the role of globalization in the development of social

and environmental standards, challenges of the global

supply chain, the role of stakeholders and

stakeholders’ analysis, social standards, ISO 26000,

environmental management systems, risk and crisis

management, communication and leadership. All the

sessions included instances of reflection and were

conducted with an action learning approach to

guarantee a better understanding of the information

and facilitate its future implementation.

The last two days were dedicated to applied

sessions for participants to work on the topic

“improved communication between park

developers and industries”. Via identification of

problems and subsequent cause-analysis,

participants analyzed the current status of the

implementation of social and environmental

practices in their companies and in Ethiopia’s

industrial parks and the challenges related to

communication. Afterwards, they defined and agreed on common goals as well as solutions to address the

identified problems. Finally, they developed action plans in order to implement effective CSR strategies.

A detailed agenda can be found in Appendix A. Throughout the workshop, participants were asked to

reflect on the needs and challenges regarding CSR from both the industries and the government

departments involved in Ethiopia’s industrialization.

The table below provides a brief overview of the training topics. This is followed by a more in-depth

overview of each day.

Day 1 The role of CSR in the global economy

Day 2 Overview of regulatory frameworks and the role of stakeholders

Day 3 Understanding the practical implementation of CSR

Day 4 Best practice cases and future visions

Day 5 Towards improved communication between park developers and industries

“A month ago, I received an email with the CSR

guidelines of our company and at the time I didn’t

understand well what it was all about. After the

third day of the workshop, I read it again and now

I totally understand them. Thank you for the

workshop.” -Sehen Legesse, Logistics and Sales

Manager for Chargeurs Fashion Technologies PLC

“I am very thankful for this training, it has had an

entertaining approach, I could learn about the

experiences from others since we all come from different

fields of expertise. It has been a nice opportunity to learn

and I hope we can apply it in the future.”

-Representative from Bole Lemi Industrial Park

DAY 1: The role of CSR in the global economy

The workshop kicked off with an overview of CSR and its relation

to sustainability, as well as benefits for the government and for

industries coming from the implementation of CSR measures.

Afterwards, participants were introduced to the development of

industrialization in different regions. In particular, the group

compared the trajectories of Great Britain, China, Bangladesh and

Ethiopia. Following this session, a group activity was conducted in

which participants reflected on what could Ethiopia learn and what

Ethiopia should avoid with regards to industrialization in other

regions, considering that other countries had already gone through

similar paths.

Some of the common findings are reflected in the table:

What can Ethiopia learn from other countries What should Ethiopia avoid

- Implementing CSR initiatives

- Fulfilling basic needs of workers

- Enforcing environmental regulations

- Improving human capital management

- Adequate infrastructure and utilities

(electricity, water, telecommunications,

roads)

- Better management systems

- Aiming for vertical development

- Improving working culture

- Ensuring health and safety standards

- Encouraging women participation at work

- Review of labor law (a discussion was held

about the provision of a minimum wage)

- Social dialogue

- Underestimating the human factor

- Social unrest

- Violation of social standards such as

forced labor, child labor and

harassment

- Lack of concern for the environment

and environmental pollution

- Horizontal development

- Unequal distribution of wealth

The next session introduced the complexity of global supply chains, providing examples of the textile,

leather, and coffee industries. Participants were asked to identify social and environmental challenges

along the different steps of the global supply chains (CMT, weaving, finishing, cattle farming, coffee

farming, cotton farming, tannery, logistics) from the perspective of different stakeholders.

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DAY 2: Overview of regulatory frameworks and the role of stakeholders

The second day focused on social standards. It started with an overview of the labor conditions of the

global labor market and the historical development of social standards on the international level. The next

session dealt with the role of stakeholders in global supply chains and the importance of stakeholder

analyses, a process of systematically gathering and analyzing qualitative information to determine whose

interests should be taken into account. Participants learned to map their stakeholders according to their

power, dynamism and interest. The learnings were implemented in a group session in which participants

had to identify stakeholders, their needs and interests, mapping them, prioritizing them, and identifying

areas of conflict for a company strategy with regards to different situations. After presenting their results,

participants reflected on the advantages and disadvantages of conducting stakeholder analysis for their

decision-making processes for the implementation of CSR strategies.

The next session focused on regulations of social and environmental aspects in the industry, highlighting

the differences and interrelations between national laws, codes of conduct, international guidelines,

certifications and labels. After a quick overview of international guidelines such as the OECD Guidelines

for multinational enterprises, UN Global Compact, and the ILO Tripartite declaration on multinational

enterprises and social policy, the group focused on the relation of the UN Sustainable Development Goals

with CSR. Next, different types of certifications and labels were introduced and participants learned about

ways to classify them and evaluate their credibility.

The last part of the day was dedicated to the ISO 26000 standard, an international standard developed by

the International Organization for Standardization that provides guidance and recommendations on how

organizations can improve its social responsibility and thus contribute to sustainable environmental,

social and economic development.

DAY 3: Understanding the practical implementation of CSR

The third day started with a focus on environmental standards, specifically on the development and

implementation of Environmental Management Systems. The session focused on ISO 14001 because it is

the most recognized and implemented EMS worldwide. After gaining a common understanding of

environmental policy statements by comparing real cases, participants were introduced to the methods for

identifying environmental aspects and environmental impacts in their organizations, prioritizing them,

setting objectives and creating action plans in order to define their Environmental Management Policies.

Later on, the steps for implementation and management review were presented, as well as the importance

of the role of leadership and the participation of top management in the planning, implementation and

monitoring of the EMS.

The session finished with group tasks in which participants discussed challenges to implement EMS in

factories; to encourage, support and monitor the implementation EMS from the side of the government;

and finally, the roles each person could take to help each other. Some of the actions identified by the

participants to improve the implementation of EMS are included below:

Improving Implementation of EMS at the Industrial Park Levels

o Improve communication between stakeholders

o Establish social and environmental units at the IP level

o Set guidelines, manuals and procedures for the industries

o Communicating experiences of different industries to facilitate per learning

o Strengthen integration and collaboration

During the second half of the day, participants learned about risk and crisis management, including the

role of communication, behavior, expectations and conflict resolution. They also analyzed the role of

audits and the current challenges and limitations of auditing schemes, emphasizing the difference between

social and environmental aspects in an audit evaluation. Participants were also introduced to the concept

of dialogue as a method to improve labor relations along with worker satisfaction, productivity, product

quality and brand reputation.

DAY 4: Best practices and future vision

The fourth day started with an overview of the role of sourcing in the global supply chain and the

challenges it represented to the implementation of CSR strategies. After this session, a role play was

organized in which participants learned how the

decisions of different stakeholders can positively or

negatively influence social and environmental

conditions along the global supply chains. The day

continued with a session on the importance of

effective communication followed by a presentation

of best practices for implementing CSR standards

including the reduction of excessive overtime,

strategies to implement living wages and

empowering women in factories.

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The last presentation of the workshop was focused on the relationship between leadership and CSR and

the leadership skills that are necessary for CSR managers to successfully develop and implement social

and environmental initiatives, communicate their vision to the rest of the company and make decisions

that improve sustainability.

Participants were also introduced to the “7-Step Solution-Finding Cycle” (see Figure 1 below), which

guides them through identifying a particular workplace problem, examining it critically, creating a joint

vision for the future, and addressing the problem in a structured way. Based on the knowledge acquired

during the previous days, participants were asked to join efforts to start implementing changes that would

foster sustainability in Ethiopia’s industry.

Figure 1. The 7-Step Solution-Finding Cycle

Step 1: Problem Identification

Participants were asked to write down two problems they considered relevant with regards to

communication and collaboration between government departments and the industries. The problems

were then jointly clustered into the following 9 categories:

1. Lack of support and monitoring of social and environmental issues from the government to the

industries (lack of environmental and social units in the industrial parks for implementation,

support and monitoring social and environmental aspects)

2. Lack of synergies for the implementation of initiatives (not enough emphasis given to the

implementation of measures from the side of the industries and the government)

3. Communication gap between the government and the industries (misunderstandings, lack of a

dialogue platform for IPDC and the industries, irregular communication, lack of common

objectives and goals, non-collaborative communication, unclear communication

channels/strategies)

4. Lack of a legal framework for social and environmental aspects (lack of standards operating

procedures and means to enforce them to improve the performance of industries)

5. Worker- manager relations

6. Reluctance from the side of the industry (lack of commitment, low/late disclosure of information)

7. Poor infrastructure in industrial parks (mostly related to provision of drinking water in Hawassa

Industrial Park)

8. Need support for certifications

9. Lack of competences (lack of experts for social and environmental compliance)

Joint problem identification through participatory methods

Identification of causes underlying one selected

problem

Agreement on what the ultimate goal or outcome

should be

Brain-storming realistic and feasible

solutions

Creation of concrete action plans to implement

solutions

Action plan execution

Problem Reason Objective Solution Plan Execution Reflection

Joint review of the process and outcome

achieved

Participants then voted to agree on the three main problems, and divided in three groups according to their

interests to work through these topics.

1.

Lack of support and monitoring of social and environmental issues from the government to the industries (25 votes)

2.

Communication gap between the government and the industries (23 votes)

3.

Poor infrastructure of industrial parks, specifically, drinking water in Hawassa Industrial Park (20 votes)

DAY 5: Improved communication between park developers and industries

During the last day of the workshop, participants continued to work on the problems selected the day

before. The three groups went through the steps of cause analysis, goal setting, solutions finding and

action plan development.

Step 2: Cause analysis

The participants discussed the reasons for the problem and the causes of those reasons, and captured the

results in a fishbone diagram that they presented to the whole group. The main causes found are reflected

in the following table:

1.

Lack of support and monitoring of social and environmental issues from the

government to the industries:

- Lack of skills and manpower from the government side

- Lack of coordination between government bodies

- Priority goven to industrialization instead of to environmental aspects

- Lack of availability (lack of commitment and of concerned bodies)

2.

Communication gap between the government and the industries:

- Miscommunication

- Lack of effective communication skills

- Parties focused on number of workers and foreign direct investment and

not much in social and environmental aspects

- Stakeholders’ perception focused on own interests

3.

Poor infrastructure of water supply in Hawassa Industrial Park:

- Lack of acredited laboratory to test and certify water

- Lack of competent consultants

- Alternative water supply does not arrive ontime (efficiency)

- Huge amount of floride in water

- Incosystent operation of water treatment plant

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Step 3: Goal Setting

Participants defined goals in relation to the problem identified, an essential step to have a common vision.

Individual goals were shared in a statement round and groups worked together to find a common group

goal that would define the criteria to the possible solutions.

1.

Seeking win-win solutions by focusing on environmental and social aspects by

creating an audit body which will help upgrade industrialization and scope for

developing a skillset for future generations

2.

To ensure a harmonized communication system to improve the communication

gap between stakeholders

3.

Supply sufficient quality water to the industries within the next six months.

Step 4: Finding a Solution

Once the goals were established, participants brainstormed ideas to reach these goals and later ranked

them in a prioritization matrix.

1.

Focusing on environmental and social aspects through creating an audit body:

- Require an environmental specialist to the government for each Industrial

park (selected priority)

- Creating a separate audit body from the government (selected priority):

- Support and coordination between government departments and IPDC

- Long term solution on social and environmental issues

- Imparting periodic training on environmental and social issues

2.

Ensure a harmonized communication system:

- Automated communication system (selected priority)

- Training and capacity building

- Developing and communicating SOP

- Include these sectors (social and environmental) in the one-stop service

- Create a user-friendly website

- Having a focal person representative

- Effective follow up

- Periodical stakeholders’ festival

- Using media regarding common understanding

- Organizing job fair

- Social dialogue between stakeholders

- Working side by side

3.

Supply sufficient quality water to the industries within six months:

- Speed up water treatment system (selected priority)

- Testing and confirming the quality of the water

- Establishing an operating an accredited laboratory

- Digging deeper borehole

- Finding alternative systems

- Involving experts in the process

Step 5: Developing Action Plans

Finally, all groups developed SMART (specific, measurable, ambitious, realistic/relevant, time-bound)

action plans to reach their selected solution(s) Action Plans:

Require an environmental specialist to the government for each industrial

park & create a separate audit body from the government

Measure Actions Responsible

Person

Deadline Status/

Comments

Establish an

environmental unit

in each Industrial

Park and a

Regulatory body.

Conduct regular

monitoring and to

which

environmental

experts are

assigned

1. Establish environmental unit

Hire experts

Prepare environmental policy

Conduct training for workers

Conduct regular environmental

audits and report to regulatory

bodies

IPDC

Regional IP

Regulatory

body / MEFCC

May 2018 It might take

more time

Budget needed

2. Conduct monitoring

Review ESIA reports in the IPs

Prepare check list

Regulatory body /

MEFCC Continuous

Regular

monitoring

Budget needed

3. Assign experts:

Environmentalist

Sociologist

- Regulatory body

/ MEFCC

Investment

Commission

May 2018 One stop service

Budget needed

Improve communication through the development of an automated

communication system (selected priority

Measure Actions Responsible

Person

Deadline Status/

Comments

Automated

communication

system

1. Hire consultant IPDC Mar 23 to May

23 2018

In progress

2. Install database IPDC, Consultant

firm, EP

April 15 to May 23

2018

3. Hire and train

personnel

Consulting Firm,

IPDC

May 23 to June 23

2018

4. Develop SOPs and

provide training

Consulting Firm,

Tenant association June 30 2018

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Improve the provision of drinking water for the HIP by speeding up water

treatment

Measure Actions Responsible Person Deadline

Speed up the

water treatment

1. Characterizing the water

quality

The contractor with the help of

IPDC

15 days

2. Investigate the water

treatment system

The conformity assessment agency

and IPDC

15 days

3. Rectifying the identified

problem Contractor, example CCECG 3 months

4. Test Contractor and 3rd party 6 months

5. Hand over and training Contractor 10 days

The workshop concluded with a final revision and reflection of the topics that had been presented during

the week and on the steps needed to bring the newly developed action plans into practice. Participants

shared their experiences and thoughts on the workshop, ending with closing remarks from Mr. Mergia

Kuma, Environmental Protection and Social Safeguard Directorate Director of IPDC, who emphasized

the importance of mutual understanding and collaboration among all the stakeholders involved in the

sustainable development of Ethiopia’s industrial sector.

OBSERVATIONS AND REFLECTIONS

The participants were highly engaged and motivated during the five days of the workshop. Participation

was high, and moreover, participants showed the will to implement changes and to improve collaboration

between the organizations that participated in the training.

The participants constantly provided

feedback and shared their

experiences to illustrate the topics

delivered. A very positive aspect

that contributed to enhance the

results of the training was the

presence of representatives from

different organizations with

expertise in diverse disciplines. This

gave way to a wide range of

examples of challenges and experiences in the

implementation of social and environmental

initiatives in Ethiopia. Furthermore, it created the

opportunity to improve stakeholders’ dialogue and to

develop a common understanding on the challenges

towards sustainability. All in all, participants were

satisfied with the results and the methods used during

the training, showing enthusiasm towards the

implementation of the action plans they developed

the last day. A copy of the evaluation form used can

be found in Appendix C.

“It was a wonderful experience. I think most of the participants are

very interested and courageous to apply what they have learned,

although sometimes we lack the power to implement it. We need

to include people in high positions, appeal and convince those

parties and organizations who can help us move forwards towards

CSR.”

-Representative from Hawassa Industrial Park

“Things might not be as simple as they seem. When

we put things in practice it can be challenging, but

we have to keep it up with the social and

environmental issues. IPDC has taken

responsibilities and so has the industry. We will try

to have periodic meetings to keep on discussing.

-Representative from IPDC

Based on participant discussions, a number of observations and reflections are worth sharing which may

inform future initiatives:

- Participants acknowledged a general miscommunication due to, between other reasons, the

inexistence of adequate platforms. In this context, efforts towards sustainability were sometimes

duplicated or triplicated; messages and requests got lost in long communication chains, and there

was a lack of awareness of existing information and resources that could facilitate the work of the

industries and governments.

- The need of extra units/departments to support the implementation of social and environmental

measures in the industrial parks i.e. preparing and communicating guidelines, supporting

implementation of CSR, carrying out monitoring activities, etc., was repeatedly mentioned.

- There was a very positive attitude from the side of the governmental departments participating in

the workshop to collaborate and improve actions.

- The topic of minimum wage was brought up repeatedly by the participants as a requirement to

improve workers conditions.

- There is awareness about many initiatives coming from multiple stakeholders in order to improve

processes and sustainability in industrial parks, the focus was put on the challenges of

coordinating and executing actions.

- Representatives from the factories in industrial parks showed a good attitude to collaborate. They

recognized the efforts from the side of IPDC to improve their operations. For instance, the

provision of soft skills training to workers was considered very important for the factories.

RECOMMENDATIONS AND NEXT STEPS

1. The training specialists recommend that support and monitoring is provided to the participants to

implement their action plans, since it would be counterproductive if the initiatives do not take

place.

2. Participants expressed interest in further capacity building to gain additional knowledge with

CSR tools. Further workshops that deepen the knowledge on particular topics that were covered

in the workshop e.g. EMS, implementation of specific CSR guidelines, can be held in the future,

as well as direct coaching for managers in charge of implementing CSR measures in the factories.

3. Most of the factory representatives in the workshop were part of either Hawassa or Bole Lemi 1

Industrial Park. For CSR initiatives to expand throughout Ethiopia’s industry, it is advisable to

provide this or similar workshops to factories outside IPs and to those in other IPs (i.e. new

regional Industrial Parks).

4. Participants could only focus on developing a limited number of action plans that tackled what

they considered the most pressing problems in the context of what was in the scope of their

possibilities. It is recommended that further actions are taken to support stakeholders with regards

to:

a. Establishing and organizing social and environmental units at the industrial parks level

b. Developing manuals and procedures for the factories’ management systems and

reporting, that consider international regulations and adapt them to Ethiopia

c. Strengthen integration and collaboration between stakeholders. Facilitate peer learning

and communication of stakeholders with regards to CSR initiatives i.e. through regular

meetings, trainings, setting up working groups.

5. Keep developing expertise on CSR subjects among Ethiopia’s managers and industry developers

e.g. organizing further workshops

6. To guarantee a coordinated approach, it is important that a leading governmental body is assigned

with the responsibility to coordinate all these initiatives.

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ACKNOWLEDGMENTS

USFS-IP/USAID and SUSA deeply appreciate the hospitality and coordinating efforts of IPDC and the

Environmental Protection and Social Safeguard Directorate key staff. Recognition and appreciation to

Mrs. Hiwot Hailu, USFS/USAID Climate Change Advisor at IPDC and Ms. Timnit Woldeghiorgis who is

also USFS/USAID Climate Change Advisor at MoI, for their guidance and overall facilitation of the

workshop. USFS and USAID are also grateful for Mebrat Senusi, and Edilawit Event Services for their

logistical support. These individuals all helped the workshops run smoothly and successfully.

APPENDICES

Appendix A: Training Agenda

Industrial Parks Corporate Social Responsibility

and Environmental Management Systems Training Workshop Towards Improving Social and Environmental Conditions in Ethiopia’s Industrial Parks

Date March 19 – 23, 2018

Location 9th Floor, Capital Hotel, Addis Ababa

Trainers o Hannah Ringwald, Sustainability Agents SUSA GmbH

o Carolina Galiotti, Sustainability Agents SUSA GmbH

Key Staff

o Timnit Woldeghiorgis, USAID/USFS Advisor to Ministry of Industry

o Hiwot Hailu, USAID/USFS Advisor to Industrial Parks Development

Corporation

o Alison Holt, US Forest Service Africa and Middle East Specialist

Workshop Objectives:

The overall objective of the training workshop is to build capacities and capabilities among industrial

park developers on Corporate Social Responsibility and Environmental Management Systems in order to

foster sustainability in Ethiopia’s industrialization.

I. Create awareness about the importance of integrating long-term economic, environmental, and

social aspects in the industries’ business strategies while maintaining global competitiveness and

brand reputation.

II. Analyze the role of stakeholders along the global supply chain and their impact on the industry’s

sustainability

III. Provide an overview about international standards for social and environmental responsibility and

understand the regulatory framework

IV. Understand and reflect on the practical implementation of CSR in the industry

V. Analyze and develop ideas for a strategy towards improved communication between park

developers and industries

March 19th – The role of CSR in the global economy

8:30 - 9:00 am Registration

9:00 - 9:30 am Opening Remarks

9:30 - 10:45 am Ice-breaker and introduction round

10:45 - 11:00 am Workshop overview:

o Objectives of the workshop

o Logistics

o Introduction to the concept of CSR

11:00 – 11:15 am Morning break

11:15 – 11:45 am Team building

11:45 am – 12:30 pm The way to industrialization in a globalized world

o Development of the textile industry in Ethiopia and beyond

o Facts about the global labour market

12:30 - 1:45 pm Lunch

1:45 – 2:00 pm Energizer

2:00– 2:30 pm Understanding the supply chain of the textile and garment industry

2:30 - 3:00 pm Group work: Identification of Social and environmental challenges the global

textile supply chain

3:00 – 3:15 pm Afternoon break

3:15 – 3:45 pm Presentation of group work

3:45 - 4:15 pm Global framework for Social and Environmental standards

o International Labor Organization and the role of soft law

o Impact of globalization on regulatory framework

4:15 – 4:30 pm Wrap up and feedback

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March 20th – Overview of regulatory framework and the role of stakeholders

9:00- 10:00 am What was learned the previous day?

10:00 – 10:30 am Stakeholders in the supply chain: roles and stakeholder’s analysis

10:30 - 11:00 am Group work: Stakeholders’ analysis based on case studies


11:15 – 11:45 am Presentation of group work

11:45 am – 12:30 pm Regulation of Social and Environmental Standards: Laws, Codes of Conduct

and Certificates

12:30 - 1:45 pm Lunch


2:00 – 3:00 pm Social standards: an overview and Application of ISO 26000


3:15 - 4:15 pm Generating new ways to look at challenges


March 21th – Understanding the practical implementation of CSR

9:00 - 10:00 am Warm up

10:00 – 11:00 am Environmental standards: an overview and application of ISO 14001


11:15 am – 12:15 pm Environmental standards: an overview and application of ISO 14001

12:15 – 12:30 pm Introduction to risk and crisis management

12:30 - 1:45 pm Lunch

1:45 – 2:00 pm Risk and crisis management

2:00 - 2:15 pm The role of Audits

2:15- 2:30 pm Social and Environmental standards in practice: different approaches

2:30 - 3.00 pm Beyond audits:

o Dialogue trainings

o Dialogue methodology

o Examples of countries



3:45 – 4:15 pm The role of sourcing


March 22nd – Best practice cases and future visions

9:00- 10:00 am Warm up

10:00 – 11:00 am Activity: Supply chain dialogue session


11:15 – 11:45 am Activity: Supply chain dialogue session

11:45 am – 12:15 pm Role of communication

12:15 – 12:30 pm Best practice cases of CSR measures

12:30 - 1:45 pm Lunch

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1:45 – 2:15 pm Recommendations for CSR professionals

2:15 – 3:00 pm The role of leadership and change


3:15 – 3:30 pm Towards improved communication between park developers and industries:

objective of session and introduction of PROSPERe2e®

approach

3:30 – 3:45 pm Problem identification

3:45- 4:15 pm Group work: Problem identification


March 23rd – Towards improved communication between park developers and industries

9:00- 10:00 am Warm up

10:00 – 10:15 am Cause analysis

10:15 – 11:00 am Group work: Cause analysis


11:15 – 11:30 am Goal Setting

11:30 am – 12:00 pm Group work: Goal Setting

12:00 – 12:30 pm Intro to Solution finding

12:30 - 1:45 pm Lunch

1:45 – 2:15 pm Group work: Solution finding

2:15– 2:30 pm Action plan intro

2:30 – 3:00 pm Group work: Action Plan


3:15 – 4:00 pm Summary of exercise


4:15 – 4:30 pm Closing Remarks and Certificates

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Appendix B: Resources for the Training

The following is a list of resources that were provided to participants on a flash drive as part of the

training:

Academy for Conflict Transformation. Self-Learning-Course No 10: Communication Model

("four-ears-model").

Business Social Compliance Initiative, Information Kit on BSCI 2.0 for participants. Enabling

Social Responsibility in Global Supply Chains.

Ecologia (2011) Handbook for Implementers of ISO 26000. Global Guidance Standard on Social

Responsibility Designed by ECOLOGIA for Small and Medium Sized Businesses. Version Two.

May 2011.

Ethical Trading Initiative (2005) Freedom of Association and Collective Bargaining Guidance

Document. Edition 1, March 2005.

Ethical Trading Initiative (2014), The ETI Base Code.

International Labour Organization (2003). The International Labour Organization’s Fundamental

Conventions.

International Labour Organization (2014). Rules of the Game. A brief introduction to International

Labour Standards. Revised Edition 2014.

International Labour Organization (2017). Tripartite Declaration of Principles concerning

Multinational Enterprises and Social Policy.

International Organization for Standardization. Introduction to ISO 14001.

ISO 26000 Post Publication Organization (2016) ISO 26000 Basic training material.

ISO. Benefits in Applying ISO 26000. Selected case studies as a result of the SR MENA project.

Kammi Schmeer () Stakeholder Analysis Guidelines. In Policy Toolkit for Strengthening Health

Sector Reform.

Maren Knolle (2011) Corporate Social Responsibility in Supply Chains: Improving Working

Conditions through Dialogue and Cooperation. In: Rudolf Traub-Merz and Kinglun Ngok (Eds.):

Industrial Democracy in China. Beijing: China Social Sciences Press 2011.

Maren Knolle (2012). Influence of Participatory Organisation Structures on the Implementation of

Social Standards. An Empirical Study of Chinese Garment Factories

Michael J.D. Hopkins (2016). Corporate Social Responsibility (CSR) and the United Nations

Sustainable Development Goals (SDG): The role of the private sector.

MTD Training (2012) Effective communication skills.

Naomi Williamson, Astrid Stampe-Knippel, Tina Weber (2014) Corporate Social Responsibility

National Public Policies in the European Union. Compendium 2014.

OECD (2011), OECD Guidelines for Multinational Enterprises, OECD Publishing.

http://dx.doi.org/10.1787/9789264115415-en.

Richard Locke, Fei Qin, Alberto Brause (2006) Does monitoring improve Labor Standards?

Lessons from Nike. Corporate Social Responsibility Initiative, Working paper n.24. Cambridge.

MA: John F Kennedy School of Government, Harvard University.

Rob van Tulder (2006) Leadership and CSR.

Tex-EASTile. Green Tools Handbook for Textile Industries. A guide on main product and system

certifications focused on ecological improvement of textile products.

http://dx.doi.org/10.1787/9789264115415-en

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UNIDO (2017) “Corporate Social Responsibility and Public Policy: The role of Governments in

facilitating the uptake of CSR among SMEs in developing countries” Discussion paper. Expert

Group meeting, 20-21 November, Vienna, Austria.

United Nations (2011) Guiding principles on Business and Human Rights. Implementing the

United Nations “Protect, Respect and Remedy” Framework.

United Nations. Universal Declaration of Human Rights.

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